Rohan Paul (@rohanpaul_ai) · 10/15/2026, 19:38:56
Bloomberg Details Texas AI Data Center Costs: GPU and Power Gear Inflation Drive $3B Overruns for 1GW Sites
Bloomberg reports that constructing large-scale AI data centers is becoming significantly more expensive, with servers accounting for at least half of the budget and average prices doubling over two years. Due to scarce grid capacity and severe backlogs in power generation equipment, a 1GW site may face nearly $3 billion in cost overruns, including $1.2 billion just for installing liquid cooling systems.
SOURCE COVERAGEFull Original Report
Rohan Paul (@rohanpaul_ai) · 2026-10-15 11
Bloomberg published a piece on the estimated expenses to construct an AI data center in Texas
Servers make up at least half the bill, and demand has more than doubled their average price in 2 years while DRAM costs over 5 times last year’s price.
Grids rarely have a spare gigawatt in one place, so developers either pay $584K per megawatt for grid-connected land or build their own gas generation, whose cost has tripled in recent years.
About 3B for overruns.
GPU racks run hot enough to need liquid cooling, which makes merely installing the servers and cooling units in a 1GW site cost about $1.2B.
